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<br />ment plans. The District will also construct an internal <br />wastewater collection system to serve the District. <br /> <br />Section 4.06. Drainaqe. The District proposes to <br />construct a drainage system consisting of inlets, storm <br />sewers, open channels, detention facilities and retention <br />facilities (water quality ponds). District construction will <br />be in accordance with the Interim Drainage and Erosion <br />Control provisions of the Subdivision Ordinance of the City <br />then in effect. <br /> <br />Section 4.07. City Approval of Plans. No construction <br />of any portion of the Project shall commence unless the plans <br />and specifications therefor have been approved by the City, <br />the Commission and/or the Texas Department of Health, and all <br />other governmental entities having jurisdiction. All such <br />approvals by the City shall not be unreasonably withheld. <br /> <br />Section 4.08. Ownership. Operation. and Maintenance of <br />the Facilities. The City shall own, operate, and maintain <br />the Regional Facilities financed by the City and the District <br />upon the completion of construction and all final approvals. <br />The City and the District agree to share the cost of a <br />resident inspector for each construction project, who may not <br />be one of the engineers engaged to design that portion of the <br />Regional Facilities. The City hereby appoints LRL, or at <br />LRL's option the District, to act as Project Manager, the <br />details of which appointment may be provided in a separate <br />but compatible Project Manager Agreement. The City <br />specifically agrees to maintain its wastewater treatment <br />plant in accordance with its Commission permit and all other <br />regulations. The City agrees that in consideration for the <br />District's financial partnership, the District shall retain <br />an exclusive ownership interest in the District's pro rata <br />share of capacity necessary to serve the property within the <br />District as reflected in Exhibit D hereto, subject to Mutual <br />Modification, until the District is annexed by the City or <br />dissolved, whichever occurs earlier. Additionally, the Dis- <br />trict will convey to the City for ownership, operation, and <br />maintenance by the City, the District's internal lines, upon <br />acceptance by the City. The City will provide retail utility <br />service as described more fully herein to the District. The <br />City agrees to own, operate, and maintain all the District's <br />facilities in accordance with all regulatory requirements and <br /> <br />-12- <br />